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Pemex Approves Vinyl Chloride Unit

by Alexander H. Tullo
January 21, 2013 | A version of this story appeared in Volume 91, Issue 3

The board of Mexican state oil company Pemex has approved a joint venture with polyvinyl chloride producer Mexichem. Under the plan, first unveiled in 2011, Pemex and Mexichem said they would spend about $550 million to revamp a vinyl chloride plant in Pajaritos, in the Mexican city of Coatzacoalcos, tripling the unit’s capacity to 400,000 metric tons per year. However, last November, citing “constant postponements” by Pemex, Mexichem signaled it would shelve the project and instead expand outside of Mexico.

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